From Buy to Hold, on valuation.
"We continue to view BIDU as the clear leader in
the Chinese search segment. Despite economic
weakness, we project strong revenue growth for
the company in '09. Based on the benefits of being
a Chinese company, capturing early market
leadership, and having a well-known brand, we
believe that BIDU will likely at least maintain its
marketshare over the near to intermediate term.
However, the ADSs have appreciated strongly
month to date, and we see only modest upside to
our 12-month target price, which we keep at $180."